Delhi government announces a major move: scrap old trucks and buses, buy new EVs, and receive 100% tax exemption for 10 years.

BS-IV Vehicle Replacement: The government has taken a major decision to curb the rising air pollution in Delhi. The Delhi government, led by Chief Minister Rekha Gupta, has approved the implementation of the Central Government’s Ministry of Road Transport and Highways’ Parivartan Yojana. The plan aims to replace old and highly polluting commercial vehicles on the roads with BS-VI and electric vehicles. The government believes this will clean the air in the capital and make the transportation system more modern and environmentally friendly.

More than 2 lakh vehicle owners will directly benefit

Regarding this new policy, Chief Minister Rekha Gupta said that approximately 2.07 lakh truck and bus owners in Delhi-NCR will benefit from this scheme. Reducing the number of old commercial vehicles will reduce pollution and promote electric mobility. This step is considered important in strengthening the clean transportation policy in Delhi.

Buying a new electric vehicle will offer significant benefits.

In addition, if a vehicle owner owns a BS-IV or older light goods vehicle (LGV) and replaces it with a new electric LGV, the government will offer several attractive benefits. These include a 100% exemption on motor vehicle tax for 10 years, a complete waiver of registration fees, a 5% interest subsidy, up to an 8% discount from the vehicle manufacturer (OEM), and a one-time financial benefit equivalent to a fuel voucher. Furthermore, if someone purchases a used electric commercial vehicle instead of a new vehicle, they will also receive a 50% tax exemption, a 5% interest subsidy, and financial assistance equivalent to a fuel voucher for 10 years.

Relief for truck and bus operators too

It has been revealed that this scheme is not limited to small cargo vehicles only. Medium goods vehicle (MGV) and heavy goods vehicle (HGV) owners will also be able to avail the same benefits by purchasing a new BS-VI or electric truck in place of their old BS-IV trucks. The government has also included old buses in this scheme. BS-IV or older buses can now be replaced with only BS-VI CNG or electric buses. Importantly, scrapping old vehicles will not be mandatory.

They can be sold outside the NCR in cities not included in the National Clean Air Programme (NCAP). Vehicles with outstanding road tax or fitness penalties for more than a year will also receive relief under this scheme. This scheme is considered a major step by the Delhi government towards pollution control, clean transportation, and the promotion of electric vehicles.

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